Approval under Section 35(1)(ii) for research institution conditions donor tax benefits on audit and reporting compliance. Approval under Section 35(1)(ii) grants The Automotive Research Association of India, Pune status as an approved institution partly engaged in scientific research, subject to conditions that sums received be used for scientific research, research be carried out by faculty or enrolled students, books of account be maintained and audited by a qualified accountant with the audit report furnished to the jurisdictional tax officer by the return due date, and a certified statement of donations and amounts applied for research accompany the audit report.